Achieving profitability in businesses has always been a necessary requirement for continuity, growth and expansion. To attain this, demands making strategic plans by employees who have been tasked with specific organizational responsibilities. The study uses secondary sources of data based on jou rnals, seminar papers, text - books and primary data will be obtained from responses to copies of questionnaire served to top management members, operational heads and relevant employees of the organization. The study established the Stakeholder theorist (19 84) and found out that many organizations have imbibed the principles of the balanced scorecard . I t’ s direct application was found to be prominent with few of the prominent companies listed on the stock exchange, an indication that th e performance appraisal system has not been embraced by majority, hence could not have been linked to present level of profitability, growth and other performance indices. The paper concludes with the inherent benefits of applying the balanced scorecard as against the non - specific approach of appraising employee performance in order to enhance profitability.